Canadian Banks Withdraw from Global Climate Coalition

Four major Canadian banks—BMO, National Bank, TD Bank Group, and CIBC—have announced their exit from the UN-backed Net-Zero Banking Alliance, following a similar move by six large U.S. banks. This decision comes amid increasing political pressure in the U.S., particularly as Donald Trump returns to the White House and criticizes climate initiatives. The Canadian banks expressed confidence in their ability to pursue climate strategies independently, asserting they have made significant progress in addressing climate-related risks. BMO emphasized its commitment to climate goals despite leaving the alliance, while CIBC noted that the organization had served its purpose during a time of heightened climate action. Critics, including Greenpeace, have derided the exits as detrimental to climate efforts, suggesting that stronger government regulations are needed. The Canadian banking regulator has also recently introduced guidelines for managing climate-related risks.